Automotive Parts Remanufacturing: A Global Strategic Business Report
San Jose, California (PRWEB) August 23, 2013
Follow us on LinkedIn – Automotive industry is one of the early adopters of remanufacturing, where used auto parts like engines, transmissions, starter motors, alternators, clutches, steering racks, turbochargers, cylinder heads and brake calipers are remanufactured through a series of processes for the purpose of reuse. Remanufactured automotive products present huge economic benefits as compared to new manufactured products and therefore have come under the spotlight in recent years. Since it does not involve actual production of new products, remanufacturing demands very little raw material, energy and other production inputs thus reducing the environmental impact of production. Additionally, the process of salvaging and restoring majority of end of life automotive parts which would otherwise end up in landfills, augments the attractiveness of this production model.
The auto parts remanufacturing market is cyclical in nature, with strong demand for remanufactured products seen during periods of economic slowdown, while demand tends to be weak during economic boom. Besides economic trends, number of vehicles on roads, average age of vehicle fleet, and number of miles traveled also influence demand for remanufactured auto parts and components. Against the backdrop of expanding vehicle fleet and increasing average life of vehicles plying on road, attractive potential exists for remanufactured auto parts in the upcoming years. Increasing average life of vehicles across the world is especially spewing opportunities for the market as it results in greater need for refurbishments and repairs. Production of remanufactured automotive parts and components is increasingly migrating to low cost destinations such as Asia-Pacific and Eastern Europe due to the availability of low cost labor in many of these countries.
Unlike in the developed countries where a wide range of components are produced, remanufacturing activities in emerging regions has predominantly been limited to less complex parts such as alternators and starters due to dearth in technology know-how. Owing to the surge in demand for diesel engines, remanufactured diesel engines are displaying relatively strong growth. Increasing replacement rates for transmission systems, particularly in hybrid and electric vehicles is presenting a strong business case for remanufactured transmissions.
Encouraged by the immense untapped opportunities in the remanufacturing business, automotive OEMs are increasingly venturing into the market. Remanufacturing enables auto OEMs to compete against low-cost manufacturers and to also support their commitment to corporate social responsibility.
As stated by the new market research report on Automotive Parts Remanufacturing, the United States dominates the global market. Asia-Pacific is forecast to emerge as the fastest growing market with a CAGR of 23.4% over the analysis period led by the rapid expansion of auto parts remanufacturing in low cost Asian countries.
Major players covered in the report include Andre Niermann, BORG Automotive A/S, Cardone Industries Inc., Caterpillar Inc., Jasper Engines and Transmissions, Marshall Engines Inc., Motorcar Parts of America Inc., Remy International Inc., Standard Motor Products Inc., and TRW KFZ Ausrüstung GmbH, among others.
The research report titled “Automotive Parts Remanufacturing: A Global Strategic Business Report”, announced by Global Industry Analysts, Inc., provides a comprehensive review of market trends, issues, company profiles, product launches and other strategic industry activities. The report provides market estimates and projections in US$ Million for all major geographic markets including the United States, Japan, Europe (France, Germany, Italy, UK, Spain, Russia and Rest of Europe), Asia-Pacific (China, South Korea and Rest of Asia-Pacific), and Rest of World.
For more details about this comprehensive market research report, please visit
http://www.strategyr.com/Automotive_Parts_Remanufacturing_Market_Report.asp .
About Global Industry Analysts, Inc.
Global Industry Analysts, Inc., (GIA) is a leading publisher of off-the-shelf market research. Founded in 1987, the company currently employs over 800 people worldwide. Annually, GIA publishes more than 1300 full-scale research reports and analyzes 40,000+ market and technology trends while monitoring more than 126,000 Companies worldwide. Serving over 9500 clients in 27 countries, GIA is recognized today, as one of the world's largest and reputed market research firms.
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